Dhaka, Bangladesh
Stocks extend losses as major sector slump

Stocks extend losses as major sector slump

News Report Stocks continued to fall for the second straight day on Monday as risk-averse investors continued their selling binge on large-cap shares. The market started on down-trend and the negative trend continued till end of the session. At the end of the session, DSEX, the prime index of the Dhaka Stock Exchange (DSE), settled at 5,733, losing 29.82 points or 0.51 per cent over the previous day. Two other indices also closed lower. The DS30 index, comprising blue chips, fell 21.65 points to finish at 2,002. The DSES (Shariah) index also lost 8.65 points to settle at 1,311. Turnover, another important indicator of the market, stood at Tk 7.19 billion, which was 11 per cent lower than the previous day’s turnover of Tk 8.12 billion. A total number of 163,695 trades were executed in the day’s trading session with trading volume of 162.16 million shares and mutual fund units. The market-cap of the DSE fell to Tk 4,166 billion, from Tk 4,197 billion in the previous day. The gainers took a modest lead over the losers, as out of 345 issues traded, 155 closed higher, 151 ended lower and 39 remained unchanged on the DSE trading floor. United Power topped the day’s turnover chart for the sixth straight day with 1.03 million shares worth Tk 426 million changing hands, closely followed by Monno Ceramic, Doreen Power, Fortune Shoes and Provati Insurance. The port city bourse Chittagong Stock Exchange also closed lower with the CSE All Share Price Index – CASPI – losing 21 points to settle at 17,574 while the Selective Categories Index – CSCX –shedding 11 points to finish at 10,634. Here too, the gainers beat the losers as 125 issues ended higher, 110 lower and 28 remained unchanged. The port city bourse traded 7.83 million shares and mutual fund units worth more than Tk 215 million in turnover. Some listed multinational companies (MNCs) have witnessed a continuous rise in their share prices over the last 10 sessions. The share prices rose as high as 34.73 per cent from January 27 to February 10 on the Dhaka Stock Exchange (DSE). LafargeHolcim Bangladesh, however, bucked the trend as it saw price correction during the period. Of the MNCs, Berger Paints Bangladesh posted the highest gain, followed by Renwick Jajneswar & Company (BD), Marico Bangladesh, Glaxo SmithKline, and Singer Bangladesh. A market operator said the share prices of some MNCs edged up as they are awaiting dividend declarations for the year ending on December 31, 2018. However, some MNCs’ year-end dates are June 30 and March 31. “The companies’ earnings for October-December 2018 rose moderately, compared to the same period of the previous year,” a merchant banker said. Mohammad Ali, a director of DSE Brokers Association, said the rise of foreign investments in the MNCs might have caused their share prices to surge. However, another merchant banker declined to make comments, saying that the recent price trend of the MNCS is not clear to him. The share of Berger Paints Bangladesh closed at Tk 1413.90 each on January 27 last. Its price reached Tk 1905 on Sunday, registering a rise of 34.70 per cent over the 10 days. The company reported its consolidated EPS of Tk 11.90 for October-December 2018 as against Tk 9.35 for October-December 2017. Renwick Jajneswar & Company (BD) has posted a 19.46 per cent gain between January 27 and February 10. The company’s share price closed at Tk 1231.10 on Sunday. The company’s EPS climbed 91.73 per cent to Tk 2.32 for October-December, 2018 compared to same period of the previous year. The share price of Marico Bangladesh closed at Tk 1229.80 each on January 27 last. Its price surged to Tk 1464.80 on Sunday, marking a rise of 19.10 per cent. The company reported its EPS of Tk 16.47 for October- December 2018 as against Tk 11.18 for October- December 2017. The share price of Glaxo SmithKline closed at Tk 1379.10 each on January 27 last. Its share price soared to Tk 1563.10 each on Sunday. During the period from January 27 to February 10, the company’s share price jumped 13.34 per cent. Linde (BD) witnessed 10.59 per cent gain in share price over the last 10 sessions. The company’s share price closed at Tk 1335.80 each on Sunday. Singer Bangladesh has posted a 7.32 per cent gain in 10 days. The company’s share price closed at Tk 249.10 each on Sunday. The share price of British American Tobacco Bangladesh Company closed at Tk 3460.10 each on January 27. Its share price rose 7.20 per cent to close at Tk 3709.40 on Sunday. The share of Heidelberg Cement Bangladesh witnessed 6.22 per cent gain, followed by Grameenphone (3.17 per cent). The Grameenphone witnessed ups and downs in its share price. The share price of LafargeHolcim Bangladesh declined 8.31 per cent during the 10 days to close at Tk 41.90 on Sunday. On the opening day of the week on Sunday, Stocks slipped back to the red as risk-averse investors went on selling binge on large-cap shares. Market analysts said stocks fell as investors opted for booking profit on stocks which saw sharp gains in recent price upsurge. The market started on positive note in the morning but could not maintain the trend as the session progressed amid selling pressure on large-cap shares. At the end of the session, DSEX, the prime index of the Dhaka Stock Exchange (DSE), settled at 5,763, losing 48.18 points or 0.82 per cent over the previous day. Two other indices also ended lower. The DS30 index, comprising blue chips, fell 1.41 points to finish at 2,024. The DSES (Shariah) index also lost 3.12 points to settle at 1,320. Turnover, another important indicator of the market, stood at Tk 8.12 billion against Tk 7.72 billion in the previous day. The losers took a strong lead over the gainers, as out of 348 issues traded, 247 closed lower, 72 ended higher, and 29 remained unchanged on the DSE trading floor. United Power topped the day’s turnover chart with 1.62 million shares worth Tk 665 million changing hands, closely followed by Monno Ceramic, Fortune Shoes, Bangladesh Submarine Cable Company, and Legacy Footwear. The port city bourse, Chittagong Stock Exchange (CSE), also closed lower with the CSE All Share Price Index – CASPI – losing 205 points to settle at 17,575 while the Selective Categories Index – CSCX – shedding 125 points to finish at 10,632. The losers also beat the gainers at the port city bourse as 189 issues ended lower, 66 higher, and 22 remained unchanged. The CSE traded 8.23 million shares and mutual fund units worth more than Tk 266 million in turnover. (Inputs taken from agencies)

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